Assessing the global competitiveness of European countries
Romualdas Ginevičius, Eigirdas Žemaitis, Karel Šuhajda, Martin Schieg
Countries’ Economic Development, Global Competitiveness Index, Dimensional
Weights, Multi-Criteria Assessment
Despite the importance of competitiveness in the context of a market economy, both practical
and methodological issues remain unresolved in the assessment of its state. One of the reasons
is that this phenomenon is a complex phenomenon, manifested in many different facets in
reality, and therefore the concepts and definitions of competitiveness emphasise different
aspects that reflect it. On the other hand, almost all of them emphasise its impact on the
country’s economic development. The results of the analysis of these impacts depend to a large
extent on the adequacy of the assessment of the actual level of competitiveness of the country.
To a large extent, it depends on how it was valued. Out of the three most widely applied
methodologies, the World Economic Forum, the Institute for International Management
Development, and the Institute for Industrial Policy Studies, the Global Competitiveness Index,
proposed by the World Economic Forum, brings together 12 dimensions of equal importance.
The analysis shows that this importance must be different, as some reflect factors that directly
and fully affect the competitiveness of a country, while others are the result of the first effects.
This idea is confirmed by experts, giving dimensions different weights and greater importance
to factors directly affecting the competitiveness of the country. An assessment of the Global
Competitiveness Index of the European Union countries using the same and different
dimensional weights showed a difference between 0 % and 3 %. With the help of correlation
regression analysis, it was found that an increase in the country’s competitiveness by 1% the
GDP per capita increases by 1.04 %. Depending on the size of the country, this amounts to
hundreds of millions to billions of euros.
Assessing the global competitiveness of European countries [PDF file] [Filesize: 293.86 KB]
Ginevičius, R., Žemaitis, E., Šuhajda, K. & Schieg, M. (2023). Assessing the global competitiveness of European countries. Journal of Competitiveness, 15(4), 36-52. https://doi.org/10.7441/joc.2023.04.03